A STAMP DUTY CASE

Hokitika Guardian, 31 January 1929, Page 2

A STAMP DUTY CASE

CHRISTCHURCH, Jan. 30

Arnold F. IV. Preston, insurance company agent, was charged with on October 1.9, 1928, delivering an unstamped receipt. Chief Detective Carroll said that the amount a little over £2. was paid in by a woman for damage done to a window by her son. The money was paid in on account. The receipt vis handed over unstamped. Air Thomas said that there was a section of'the Act which exempted insurance money of this class. The sum involved was very small, but the case was of tremendous importance to the insurance companies of New Zealand. The main business of insurance coinpanics was tliat of insurers, to pay out for damage done, and to collect it possible from the people who had done the damage. All payments on the main object were exempt from the duty, but of course, any oilier payment, such as in resjA'ct of investments of the companies’ funds, was in the nature of ordinary business and was not exempt. There were many ancillary objects provided for in the articles of association of insurance companies, and these were not exempt, but the dealings in respect of the main object were exempt. Mr Alosicy said that lie was satisfied that the money was given to the insurance company under circumstances necessary and incidental to the main objects of the company. Thousands of similar receipts were given every duy in New Zealand alone. The case was dismissed.